The document discusses various motivational theories and concepts in organizational behavior. It covers early theories like Maslow's hierarchy of needs and Herzberg's two-factor theory. Contemporary theories discussed include self-determination theory, goal setting theory, reinforcement theory, and equity theory. The document also explores concepts like job characteristics, employee involvement, and rewarding employees. It aims to acquaint readers with key motivational concepts and their application in organizations.
The presentation on Equity theory of Motivation starting with history, the theory, inputs and outputs followed by consequences of inequity gives you the detailed view of Equity theory.
Best for students, trainers, employees, etc.
The presentation on Equity theory of Motivation starting with history, the theory, inputs and outputs followed by consequences of inequity gives you the detailed view of Equity theory.
Best for students, trainers, employees, etc.
This chapter is very essential for those who are studying OB and as well has a huge importance for everyone else. Attitude is what makes someone successful and someone else unsuccessful. attitude is defined as evaluative statements- either favorable or unfavorable- concerning people, things, objects etc.while job satisfaction is a positive feeling about one's job.
Diversity In Organizations, Chapter-2, Organizational BehaviorDr.Amrinder Singh
Diversity In Organizations, Chapter-2, Organizational Behavior
This PPT is based on the Organizational Behavior Book Written By Stephen P. Robbins & Timothy A. Judge, Edition -17th, Publisher Pearson
Personality: Meaning and Determinants of Personality, Process of Personality Formation, Personality Types, Assesment of Personality Traits for Increasing Self Awareness
Attitudes and Job Satisfaction - Organizational BehaviorFaHaD .H. NooR
This is a focus on Attitudes and Job Satisfaction. Managers should be interested in their employees’ attitudes because attitudes give warnings of potential problems and influence behavior. Creating a satisfied workforce is hardly a guarantee of successful organizational performance, but evidence strongly suggests that whatever managers can do to improve employee attitudes will likely result in heightened organizational effectiveness. Attitudes are evaluative statements or judgments concerning objects, people, or events. Attitudes are made up of three components. The cognitive component is made up of the belief in the way things are. The effective component is the more critical part of the attitude as it is calls upon the emotions or feelings. The behavioral component describes the intention to behave in a certain way toward someone or something. These three components work together to aid in our understanding of the complexity of an attitude. Sometimes we observe people who will change what they say so it doesn’t contradict their behavior. When attitudes and behaviors don’t line up, individuals will experience cognitive dissonance. This incongruity is uncomfortable and individuals will seek to reduce the dissonance to find consistency.
People are willing to live with some discomfort but the degree to which this is true depends upon the importance of the elements, how much influences the individual has in the situation, and the rewards available.
This chapter is very essential for those who are studying OB and as well has a huge importance for everyone else. Attitude is what makes someone successful and someone else unsuccessful. attitude is defined as evaluative statements- either favorable or unfavorable- concerning people, things, objects etc.while job satisfaction is a positive feeling about one's job.
Diversity In Organizations, Chapter-2, Organizational BehaviorDr.Amrinder Singh
Diversity In Organizations, Chapter-2, Organizational Behavior
This PPT is based on the Organizational Behavior Book Written By Stephen P. Robbins & Timothy A. Judge, Edition -17th, Publisher Pearson
Personality: Meaning and Determinants of Personality, Process of Personality Formation, Personality Types, Assesment of Personality Traits for Increasing Self Awareness
Attitudes and Job Satisfaction - Organizational BehaviorFaHaD .H. NooR
This is a focus on Attitudes and Job Satisfaction. Managers should be interested in their employees’ attitudes because attitudes give warnings of potential problems and influence behavior. Creating a satisfied workforce is hardly a guarantee of successful organizational performance, but evidence strongly suggests that whatever managers can do to improve employee attitudes will likely result in heightened organizational effectiveness. Attitudes are evaluative statements or judgments concerning objects, people, or events. Attitudes are made up of three components. The cognitive component is made up of the belief in the way things are. The effective component is the more critical part of the attitude as it is calls upon the emotions or feelings. The behavioral component describes the intention to behave in a certain way toward someone or something. These three components work together to aid in our understanding of the complexity of an attitude. Sometimes we observe people who will change what they say so it doesn’t contradict their behavior. When attitudes and behaviors don’t line up, individuals will experience cognitive dissonance. This incongruity is uncomfortable and individuals will seek to reduce the dissonance to find consistency.
People are willing to live with some discomfort but the degree to which this is true depends upon the importance of the elements, how much influences the individual has in the situation, and the rewards available.
Motivation involves the biological, emotional, social, and cognitive forces that activate behavior.
A motive is what prompts the person to act in a certain way, or at least develop an inclination for specific behavior
Internal and external factors that stimulate desire and energy in people to be continually interested and committed to a job, role or subject, or to make an effort to attain a goal
Maslow’s-Hierarchy of Needs Theory Alderfer's ERG Theory McClelland’s Theor...Shilpi Arora
Maslow’s-Hierarchy of Needs Theory
Alderfer's ERG Theory
McClelland’s Theory of Needs
Herzberg's Two Factor Theory
Carrot and Stick Theory
Vroom’s Expectancy Theory
Equity Theory
Motivation - Meaning, Intrinsic and extrinsic motivation, Theories of Motivation, Need Theories, Process Theories, A. Maslow Need Hierarchy, F. Herzberg Dual Factor, Mc Gregor Theory X and Theory Y, Ways of Motivating through Carrot and Stick in Organizations
Motivation is an action that stimulates an individual to take a course of action, which will result in an attainment of goals, or satisfaction of certain material or psychological needs of the individual. Motivation is a powerful tool in the hands of leaders. It can persuade convince and propel people to act.
This is a project of Ratio Analysis uploaded for MBA 2nd Semester students. This is of Fatima Fertilizer, Pakistan. Hope will help you a lot. If any question feel free to mail me. Tk all.
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Modern Database Management 12th Global Edition by Hoffer solution manual.docxssuserf63bd7
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name:Solution manual for Modern Database Management 12th Global Edition by Hoffer
Edition:12th Global Edition
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All chapter include
Focusing on what leading database practitioners say are the most important aspects to database development, Modern Database Management presents sound pedagogy, and topics that are critical for the practical success of database professionals. The 12th Edition further facilitates learning with illustrations that clarify important concepts and new media resources that make some of the more challenging material more engaging. Also included are general updates and expanded material in the areas undergoing rapid change due to improved managerial practices, database design tools and methodologies, and database technology.
Oprah Winfrey: A Leader in Media, Philanthropy, and Empowerment | CIO Women M...CIOWomenMagazine
This person is none other than Oprah Winfrey, a highly influential figure whose impact extends beyond television. This article will delve into the remarkable life and lasting legacy of Oprah. Her story serves as a reminder of the importance of perseverance, compassion, and firm determination.
Artificial intelligence (AI) offers new opportunities to radically reinvent the way we do business. This study explores how CEOs and top decision makers around the world are responding to the transformative potential of AI.
5. To acquaint you with the
motivational concepts in
Organizational Behavior and their
application concepts.
5
6. PART 1 - Major Raja Manzar
What is motivation?
Why motivation needed ?
Characteristics of motivation.
Early theories of Motivation
• Maslow’s Hierarchy of Needs.
• Theory X, Y and Two factor theory.
• McClelland’s theory of need.
PART 2 - Muhammad Farooq Munir
Contemporary Theories of Motivation
• Self determination theory.
• Goal setting theory.
• Self Efficacy theory.
• Reinforcement theory. 6
7. PART 3 - Kamran Arshad
Equity / Organizational Justice theory.
Expectancy theory.
PART 4 - Muhammad Haider Hassan
Concepts and its Application.
• Factors for job dimensions.
• Employee involvement.
• Rewarding Employees.
PART 5
Question Answer session.
Conclusion.
contd…
7
9. • The process of arousing and sustaining goal directed behavior.
• The processes that account for an individual’s intensity, direction,
and persistence of effort toward attaining a goal
• “Motivation is the act of stimulating someone to get a desired
course of action.”
• Motivation is one of the key factors driving us towards achieving
something. Without motivation, we will do nothing. Therefore,
motivation is one of the key aspects when it comes to corporate
management. In order to achieve the best business results, the
organization needs to keep employees motivated.
9
10. To most psychologists, need is a psychological feature
that arouses an organism to action toward a goal,
giving purpose and direction to behavior.
The process by which a person’s efforts are energized
directed & sustained towards attaining a goal.
Three key elements:-
• Energy.
• Direction.
• Persistence.
10
11. Motivation is the processes that account for an
individual’s direction, intensity and persistence of
effort toward achieving a goal.
• Direction. should benefit the organization (i.e. quality
of effort counts!)
• Intensity. how hard an employee tries to achieve a
goal.
• Persistence. how long can an employee maintain
his/her effort to achieve a goal.
11
12. The energy element is a measure of intensity or
drive. A motivated person puts forth effort and
works hard however the quality of effort must also
be considered.
High levels of effort do not necessarily need to
favorable job performance unless the effort is
channeled in a direction that benefits the
organization.
Effort that is directed toward and consistent with
organization goals is the kind of effort we want from
employees. 12
13. Now days everyone wants to start their own
business. You cannot expect them to commit all
their energy to the company. You have to find
common ground and respect their wishes.
In order to motivate the employees, organizations
do various activities. The activities the companies
do basically the results and findings of certain
motivational theories.
13
14. Personal and Internal Feeling.
Art of Stimulating Someone Or Oneself.
Motivation can be either Positive or Negative.
Motivation can be either Positive or Negative.
Motivation is System Oriented.
Motivation is a Sort of Bargaining.
Motivation is different from Satisfaction.
14
18. 18
Abraham Maslow gave this theory.
He hypothesized 5 needs of human.
• Physiological.
• Safety.
• Social.
• Esteem.
• Self-actualization.
Maslow divided these into lower and higher needs.
19. Maslow’s Hierarchy
of Needs
Lower-
Order
Needs
Needs that
are
satisfied
externally:
Physiologic
al & safety
needs.
Higher-
Order
Needs
Needs that
are satisfied
internally:
Social,
Esteem, &
Self-
actualization
needs.
19
20. Contd…
Physiological. includes hunger, thirst, shelter and
other bodily needs.
Safety. includes security and protection from
physical and emotional harm.
Social. includes affection, belongingness
acceptance, and friendship.
Esteem. includes internal esteem factors such as
self-respect, autonomy, and achievement; and
external esteem factors such as status,
recognition, and attention.
Self-actualization. the drive to become what one
is capable of becoming; includes growth, achieving
one’s potential, and self-fulfillment.
20
21. Alderfer's “ERG” Theory……
Existence.
Relatedness.
Growth.
Existence similar to Maslow’s physiological and
safety needs.
Relatedness related to social and status needs.
Growth similar to esteem and self-actualization
needs.
Unlike Maslow’s theory, individuals can be at all
categories simultaneously.
22. This theory does not assume a rigid hierarchy
like Maslow's. For example, all 3 of these
could be operating at the same time.
22
24. Theory X
Managers See Workers As…
Disliking Work
Avoiding Responsibility
Having Little Ambition
24
25. Theory Y
Managers See Workers As…
Enjoying Work
Accepting Responsibility
Self-Directed
25
26. Fredric Herzberg gave this theory.
Intrinsic factors are related to job satisfaction, while
extrinsic factors are related to job dissatisfaction.
Hygiene factors = when these are adequate,
workers “feel OK” (i.e. they are NOT dissatisfied).
Examples include quality of supervision, company
policies and administration.
Motivators = examines factors contributing to job
satisfaction. Thus, there are factors which lead to
job satisfaction and things that don’t (i.e. notice
there is a difference between “non-satisfying” and
“dissatisfying factors”)
26
27. It states achievement, power and affiliation are 3
important needs. David McClelland with his
colleagues worked out these needs.
The Need for Achievement: the drive to excel, achieve
in relation to a set of standards, strive to succeed.
The Need for Power: The need to make others behave
in a way that they would not have behaved otherwise.
The Need for Affiliation: The desire for friendly and
close interpersonal relationships.
Q: So, what can we “do” with such information about
our employees???
27
28. Not much evidence for power and affiliation
need.
High achievers perform well when probability of
success .5.
Not attribution to pure chance or least challenge
High achievers are successful entrepreneurs;
no links to being effective managers.
Effective managers may be linked to high power
need and low affiliation need.
Contd….
30. A theory of motivation that is concered with
the benificial effects of intrinsic motivation
and harmful effects of extrinsic motivation.
30
A Version of self determination theory which
holds that allocating extrinsic rewards for
behavior that had beed previously
intrinsically rewarding tends to decrese the
overall level of motivation
31. The investment of an employee s
physical, cognitive and emotional
energies into job performance.
Job engagement is
a workplace approach designed to
ensure that employees are
committed to their organization's
goals and values, motivated to
contribute to organizational
success, and are able at the same
time to enhance their own sense of
well-being.
31
32. The theory that specific and difficult goals lead
to higher performance.
Goals tell an employee what needs to be done
and how much effort will need to be expended.
Specific hard goals produce a higher level of
output than does the generalized goal of "do
your best."
32
33. MBO. The most systematic way to utilize
goal setting is with MBO,
A program that encompasses specific goals,
participatively set for an explicit time period,
with feedback on goal progress.
Key Elements.
• Goal specificity
• Participative decision making
• An explicit time period
• Performance feedback
33
34. An indiviual,s belief that he or she capable of
performing a task.
Enhances probability that goals will be achieved
Not to be confused with: Self Esteem, which
is….
Individuals’ degree of liking or disliking
themselves.
34
35. 35
Enative mastery. The most important source of
increasing self efficcacy that is gaining relevent
experiance with the task or job.
Vacarious modeling. Becoming more confident
becasue you see someone else doing the task.
Verbal persuasion. Becoming more confident
because someone convinces you that you have the skills
necessary to be successful.
Arousal. Leads to energized state so the person gets
psyched up and perform better.
36. A theory that says that behavior is a function of its
consequences.
• A counterpoint to the goal-setting theory.
• In reinforcement theory, a “behavioristic” approach, which
argues that reinforcement conditions behavior.
• Reinforcement theorists see behavior as being
behaviorally caused.
• Reinforcement theory ignores the inner state of the
individual and concentrates solely on what happens to a
person when he or she takes some action.
36
39. • A theory that individuals compare their job inputs
and outcomes with those of others and then
respond to eliminate any inequities.
• Focuses on people’s perceptions of the fairness (or
lack of fairness) of their work outcomes in
proportion to their work inputs.
39
40. • Self Inside. An employee's experiences in a
different position inside his current situation.
• Self outside. An employee's experiences on a
position outside his current organization.
• Other inside. An other individual inside the
employee’s organization.
• Other outside. An other individual outside the
employee’s organization.
40
41. • Inequity exists when worker’s outcome/input ratio
is not equal to referent.
– Underpayment inequity: ratio is less than the referent.
• Workers feel they are not getting the outcomes they
should for their inputs.
– Overpayment inequity: ratio is higher than the referent.
• Workers feel they are getting more outcomes than
they should for their inputs.
41
42. Condition Person Referent Worker contributes
Equity Outcomes
Inputs
=
Outcomes
Inputs
more inputs but also
gets more outputs
than referent
Overpayment
Equity
Outcomes
Inputs
>
Outcomes
Inputs
Worker contributes
same inputs but also
gets more outputs
than referent
Underpayment
Equity
Outcomes
Inputs
<
Outcomes
Inputs
Worker contributes
more inputs but also
gets the same outputs
as referent
42
45. Change their inputs.
Change their outcomes.
Distort their perception.
Distort perception of others.
Change the reference person.
Leave the field.
45
46. Distributive Justice
Def. Perceived fairness of outcome.
e.g. Mr. X pay was raised because he
deserved due to his hard work.
Procedural Justice
Def. Perceived fairness of process
used to determine outcome.
e.g. Ahmed pay was increased
because he was found as best sales
man of the store.
Interactional Justice
Def. Perceived degree to which one is
treated with dignity and respect.
e.g. Tayyab’s pay was increased and
the manager informed him about this
with lot of respect.
Organizational
Justice
Def. Over all
perception of
what is fair in
the work
place.
e.g. I think
that Pepsi
Multan is a
fair place to
work. Do job.
46
48. Motivation will be high when
workers believe:
High levels of effort will lead to
high performance.
High performance will lead to
the attainment of desired
outcomes.
13-48
49. Expectancy - the belief that effort (input) will
result in a certain level of performance.
Instrumentality - the belief that performance
results in the attainment of outcomes.
Valence - how desirable each of the available
outcomes from the job is to a person.
49
50. Expectancy is High
People perceive that if
they try hard, they can
perform at a high level.
Instrumentality is High
People perceive that high
performance leads to the
receipt of certain outcomes.
Valence is High
People desire the outcomes
that result from high
performance.
High
Motivation
50
52. The Job Characteristics Model( J. Richard
Hackman & Greg Oldham) - jobs are described
in terms of five core dimensions:
• Skill variety
• Task identity
• Task significance
• Autonomy
• Feedback
52
53. Skill variety. Degree to which a job requires a variety
of different activities so the worker can use a number of
skills and talent.
Task identity. Degree to which a job requires
completion of whole work and identifiable piece of work.
Task significance. Degree to which a job affects the
lives or work of other people.
Autonomy. Degree to which a job provides worker
freedom , independence and discretion in scheduling
work and determining the procedures in carrying it out.
Feedback. Degree to which carrying out work activities
generates direct and clear information about your own
performance.
53
Contd….
55. Job redesign refers to
Designing a better fit between workers and their
jobs.
Any set of activities that involves the alteration of
specific jobs or interdependent systems of jobs
with the intent of improving the quality of employee
job experience and their on the job productivity.
Any work changes that increase work quality or
productivity. Alters basic relationship between
worker and job.
Changing the tasks or the way work is performed
in an existing job.
To changes in the design of individual jobs.
55
56. Job Redesign Techniques
Job Rotation. The periodic shifting of an employee
from one task to another
Job enlargement – Horizontal. Increasing the
number and variety of tasks that an individual performed
Job Enrichment – Vertical. Increasing the degree
to which the worker controls the planning, execution and
evaluation of the work
Adding one or more motivating factors to job activities
(such as increasing responsibility or recognition)
56
57. Combine tasks
Form natural
work units
Establish client
relationship
Expand jobs
vertically
Open feed back
channels
Skill variety
Task identity
Task
significance
Autonomy
Feed Back 57
Suggested Action Core Job Dimensions
58. Flextime.
• Some discretion over when worker starts and leaves
• Allow people to choose their work hours by adjusting
• a standard work schedule
Job Sharing.
• Allows two or more individuals to split a traditional
• 40-hour-a-week job
Telecommuting.
• Work remotely at least two days per week Employees
who do their work at home at least two
• days a week on a computer that is linked to their office
58
59. Flextime Benefits include.
reduced absenteeism.
increased productivity.
reduced overtime expenses.
lessening in hostility toward management.
reduced traffic congestion around work sites,
elimination of tardiness.
increased autonomy and responsibility for
employees that may increase employee job
satisfaction.
59
60. A participative process that
uses the input of employees
to increase their
commitment to the
organization’s success.
Involving workers in
decisions that will affect
them and increasing their
autonomy and control over
their work lives.
60
61. Contd….
Two types.
1. Participative Management.
2. Representative Participation.
Participative Management. Subordinates are
given chance / share the decision making
process.
Representative participation. Group
representative participates decision making
process on behalf of group.
61
62. Major strategic
rewards decisions:
What to pay
employees
How to pay individual
employees
What benefits to offer
How to construct
employee recognition
programs
62
the content theory of motivation mainly focuses on the internal factors that energize and direct human behavior.
Process theories of motivation provide an opportunity to understand thought processes that influence behavior
Douglas McGregor said that managers hold one of two sets of assumptions about human nature: either Theory X or Theory Y. Seeing people as irresponsible and lazy, managers who follow Theory X assume the following:
1. Employees inherently dislike work and will try to avoid it.
2. Since employees dislike work, they must be coerced, controlled, or threatened to achieve goals.
3. Employees avoid responsibilities and seek formal direction, if possible.
4. Most workers place security above all other work-related factors and will display little ambition.
Since they see people as responsible and conscientious, managers who follow Theory Y assume the following:
1. Employees can view work as being as natural as rest or play.
2. When committed to their objectives, people will exercise self-direction and self-control
3. The average person can learn to accept, even seek, responsibility.
4. Many workers besides managers have innovative decision-making skills.
No hard evidence confirms that either set of assumptions is universally true. It is more likely that the assumptions of Theory X or Theory Y may or may not be appropriate, depending on the situation at hand.
Douglas McGregor said that managers hold one of two sets of assumptions about human nature: either Theory X or Theory Y. Seeing people as irresponsible and lazy, managers who follow Theory X assume the following:
1. Employees inherently dislike work and will try to avoid it.
2. Since employees dislike work, they must be coerced, controlled, or threatened to achieve goals.
3. Employees avoid responsibilities and seek formal direction, if possible.
4. Most workers place security above all other work-related factors and will display little ambition.
Since they see people as responsible and conscientious, managers who follow Theory Y assume the following:
1. Employees can view work as being as natural as rest or play.
2. When committed to their objectives, people will exercise self-direction and self-control
3. The average person can learn to accept, even seek, responsibility.
4. Many workers besides managers have innovative decision-making skills.
No hard evidence confirms that either set of assumptions is universally true. It is more likely that the assumptions of Theory X or Theory Y may or may not be appropriate, depending on the situation at hand.
There are some alternative work arrangements that have been successful in helping increase the motivation of workers. These arrangements give the worker more control over their work and thereby can increase their level of motivation.
An example of this is Flextime. Flextime is short for flexible work hours and allows the workers to choose what hours they work within a set time period. So for example, if the worker needs to work 8 hours a day the manager may say you can choose 8 hours between 6am and 8pm. That may allow a mom to be home when her kids are coming home from school. Another example is job sharing where two workers split a job and each work part-time.
Telecommuting is another alternative work arrangement that has been utilized. This is when workers work from home at least 2 days a week.
The job characteristics model looks at describing any job in terms of five core job dimensions. These job dimensions include
-Skill variety which is the degree to which the job incorporates a number of different skills and talents.
Task identity is another dimension that looks at the degree to which the job requires a completion of whole and identifiable piece of work.
Task significance is included and looks at how the job impacts the lives of others.
Autonomy, the fourth dimension, identifies how much freedom and independence the worker has over their job.
And finally, feedback is how much the job generates direct and clear information about the worker’s performance.
The job characteristics model looks at describing any job in terms of five core job dimensions. These job dimensions include
-Skill variety which is the degree to which the job incorporates a number of different skills and talents.
Task identity is another dimension that looks at the degree to which the job requires a completion of whole and identifiable piece of work.
Task significance is included and looks at how the job impacts the lives of others.
Autonomy, the fourth dimension, identifies how much freedom and independence the worker has over their job.
And finally, feedback is how much the job generates direct and clear information about the worker’s performance.
Much evidence supports the JCM concept that the presence of a set of job characteristics—variety, identity, significance, autonomy, and feedback—does generate higher and more satisfying job performance
There are some helpful ways to redesign a job to increase the motivation of the employees. Two common practices are job rotation and job enrichment.
In job rotation an organization will shift the employee to different tasks with similar skill requirements but all in the same organizational level.
In job enrichment a manager will expand an employees job by increasing the level of control the worker has in planning their job, executing it or evaluating the work.
There are some helpful ways to redesign a job to increase the motivation of the employees. Two common practices are job rotation and job enrichment.
In job rotation an organization will shift the employee to different tasks with similar skill requirements but all in the same organizational level.
In job enrichment a manager will expand an employees job by increasing the level of control the worker has in planning their job, executing it or evaluating the work.
Job enrichment is helpful in keeping the worker engaged in their work. There are many actions a manager can take to help the worker. These actions help to achieve core job dimensions. For example if the manager combines tasks for the worker it can help the worker increase the amount of skills they are utilizing and help them to identify tasks that need to be completed. This action can help the worker to have a better understanding of their job and how it helps the organization complete its goals as well as help the worker enjoy their work more because they are using more of their skill set.
There are some alternative work arrangements that have been successful in helping increase the motivation of workers. These arrangements give the worker more control over their work and thereby can increase their level of motivation.
An example of this is Flextime. Flextime is short for flexible work hours and allows the workers to choose what hours they work within a set time period. So for example, if the worker needs to work 8 hours a day the manager may say you can choose 8 hours between 6am and 8pm. That may allow a mom to be home when her kids are coming home from school. Another example is job sharing where two workers split a job and each work part-time.
Telecommuting is another alternative work arrangement that has been utilized. This is when workers work from home at least 2 days a week.
Employee involvement is defined as a participative process that uses employees’ input to increase their commitment to the overall success of the organization. Some examples of programs that help with employee involvement are participative management and representative participation.
As we saw in previous chapters money is not the primary driver for job satisfaction. However, it does motivate individuals and companies often underestimate its impact in keeping top talent.
It is critical to figure out what to pay and to establish a pay structure that makes sense for your industry and organization. Then it is imperative that an organization utilizes this pay system and applies it to the pay of individual employees.